Saudi energy minister: Was ‘never’ looking to put US shale industry out of business
Saudi Energy Minister Prince Abdulaziz bin Salman, in an exclusive wide-ranging interview, discusses oil production cuts and global demand amid the coronavirus.
The historic oil output cuts agreed to by the world’s largest producers are bigger than what is being reported, according to Saudi Arabia’s energy minister.
Continue Reading Below
Prince Abdulaziz Bin Salman told FOX Business’ Maria Bartiromo the agreement will reduce the world’s output by 20 million barrels per day, more than double the 9.7 million that has been reported.
The prince’s comments confirm what President Trump said on Monday.
The production cuts amount to “20 million” barrels per day, Prince Abdulaziz said, adding that he is “very grateful for the work that the president did, the secretary for energy did, and to the people around the president. They were extremely helpful.”
TRUMP PLAYS KEY ROLE IN BROKERING HISTORIC OIL DEAL
The output cut is aimed at reducing a global supply glut that had been building even before a price war broke out between Saudi Arabia and Russia and global demand was crushed due to “stay-at-home” orders in response to the COVID-19 pandemic.
The disease and the worldwide economic shutdowns will cause world demand to drop by the most on record, according to a report released Wednesday by the International Energy Agency. The 9.3 million barrels a day of demand that has been removed from the market equates to about a decade’s worth of growth.